Information and communication technologies are a key factor in productivity growth and competitiveness. Approximately 70% of the difference in GDP per capita growth between the European Union and the United States is due to the EU’s lagging behind in this sector. In addition, the Czech Republic has slowed down its economic convergence to the EU average in recent years, and thus legislative anchoring of support for startups, the creation of regional innovation hubs with mentoring, and the strengthening of ICT education at universities can kick-start productivity growth in our country as well.

Key takeaways:

• The productivity growth gap between the EU and the US is largely due to the lack of development of the ICT sector in Europe.
• In recent years, the Czech Republic has been slower to converge to the EU average and is losing momentum to countries such as Poland, Slovenia or Croatia.
• Successful digital transformation requires reform of startup legislation, support for innovation centers and greater investment in ICT education.

Policy Brief– Martin Zeman

The analysis is in PDF under the link below.